Today, $76 million was stolen from an Ethereum-based altcoin project by hackers, with the actual losses believed to be much greater.
Another DeFi altcoin project falls victim to hackers
Beanstalk, a credit-based stablecoin system built on the Ethereum Blockchain, is the latest DeFi project to be hit by a major security vulnerability. According to Igor Igamberdiev, head of research at The Block, the protocol may have suffered $181 million in losses despite the hacker stealing $76 million worth of cryptocurrencies. In the official statement made by the Beanstalk team, it is stated that an announcement will be made as soon as possible:
Beanstalk was hacked today. The team is investigating the attack and will make an announcement to the community as soon as possible.
How did the attack happen?
Earlier on Sunday, a hacker exploited a flash loan vulnerability to consume the protocol’s cash. In accordance with data provided by Etherscan, they used Aave’s flash loan function to remove liquidity from the protocol and then Uniswap to exchange DAI for Ethereum and USDC and USDT for Ethereum.
24,830 Ethereums, worth almost $76 million at current rates, were stolen, but the losses for the protocol are expected to be much larger. Their funds are rendered untraceable via Ethereum mixer Tornado Cash to hide their transaction history and identities. Detailed report from blockchain security firm PeckShield:
Some time later, with the tweet above, PeckShield revealed information about it for the first time on Twitter. Beanstalk has yet to make an official statement, other than announcing the attack. The price of Bean (BEAN), a LUNA-like stablecoin liquidity source, fell to $0.353625 after the hack. It is trading above $1, accompanied by buyers coming in at the bottom.
. Associated with the cybercrime group.
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